[TigerLikesRooster]

Ping!

[the invisib1e hand]

I wouldn't expect a straight answer from the COMEX.

But I wouldn't trust the judgment of gold-foil-hatters, either. Glad my dog's not in this fight.

[blam]

I read somewhere that there is 40% more paper promising gold than there is gold. I wouldn’t own ‘paper’ gold in this environment.

[AntiScumbag]

this whole episode brings into the question the validity of the Comex gold inventory

No, it doesn't. But, it does point out that whoever the idiot is who made these ridiculous comments doesn't have a clue.

[djf]

Alot of folks (including myself) were talking about comex defaulting in December.

But there simply was never enough open interest for it to happen.

March is another story.
March is the big kahuna.

[Oatka]

Are they becoming a "fractional" reserve depository, where they can issue several WDR's against the same bar of gold, knowing that some of those people will opt to keep storage on Comex and never require actual physical delivery?"

Everything old is new again. In the Medieval Ages people took their gold to the local goldsmith to keep for he had the safe storage facilities. They got a warehouse receipt in exchange (like our old gold-backed currency). People began trading the receipts as they were more convenient. It didn't take long for the goldsmith to figure out that he could issue more receipts than he had gold. Ergo, let the good times roll! Eventually the imposition of the death penalty put an end to such practices - perhaps it should be re-imposed. (tongue only slightly in cheek)